Public–private partnerships in China: A case of the Beijing No.4 Metro line
Document Type
Journal Article
Publication Date
2013
Subject Area
mode - subway/metro, place - asia, economics - appraisal/evaluation, organisation - privatisation, organisation - contracting
Keywords
Public and private partnership, Beijing metro development, Cost saving, Revenue and cost analysis
Abstract
Through a case study on Beijing's No. 4 Metro line, this paper illustrates benefits, costs, opportunities and risks in public–private partnerships (PPP) in China. It describes the process to land a concession agreement; demonstrates the consequences for revenue and costs from using a private entrepreneur; and estimates the benefits to the public sector. By using a PPP model, the public sector may save up to 31% of its initial investment and 9.4% of total expenses during the concession. The private investor may earn a profit, but bears a risk due to absence of the rule of law.
Rights
Permission to publish the abstract has been given by Elsevier, copyright remains with them.
Recommended Citation
Chang, Z. (2013). Public–private partnerships in China: A case of the Beijing No.4 Metro line. Transport Policy, Volume 30, November 2013, Pages 153–160.
Comments
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http://www.sciencedirect.com/science/journal/0967070X